Convertible Loan Note Issue

RNS Number:7133P
London Asia Capital PLC
15 September 2003

            LONDON ASIA CAPITAL PLC ("London Asia" or "the Company")

Convertible Loan Note Issue Fully Subscribed
Investment realised for cash

The Company is pleased to announce that, following an additional #25,000 raised
from a private investor in August, the #500,000 Convertible Loan Notes ("Loan
Notes") fund raising begun earlier this year has now been fully subscribed and
the issue closed.  The Loan Notes have a conversion price of 5p per share with
warrants attached, also exercisable at 5p.  The Company has the option to redeem
the Loan Notes for cash at any time after 24th September 2003, but if not
converted the Loan Notes will automatically convert into ordinary shares on 24th
March 2008.

Temima Group plc, of which Simon Littlewood and Victor Ng are directors, holds
#50,000 of the Loan Notes.  In addition Temima Ltd, of which Simon Littlewood is
a director, holds #50,000.

As announced in May 2003, Scarborough Group plc, of which London Asia's recently
appointed director Susan Tham is a director of its China focused subsidiary,
invested #50,000 in the Loan Notes.

The following directors of the Company have also invested in the Loan Notes:
Jack Wigglesworth (#23,304), Barry Gold (#76,750), and George Allnutt (#88,946).

The Company has continued the process of realising value from investments made
prior to the new management taking over in May 2002.  The Company has sold all
of its stake in Kelkoo, a French internet company, which has resulted in net
cash proceeds for the Company of approximately #160,000.

Simon Littlewood, Chief Executive of London Asia, said: "The cash raised from
the issue of the Loan Notes and the sale of our stake in Kelkoo will be used to
invest in the Chinese companies which we are currently performing due diligence
on.  I am delighted by the confidence shown in the Company's strategy by the
investors in the Loan Notes, the bulk of whom invested earlier this year when
the share price was below 3p. "


ENQUIRIES:

Simon Littlewood, Chief Executive                   07802 857 287
Keith Lewis, City Road Communications               020 7334 0243
Fiona Kindness, Grant Thornton Corporate Finance    020 7383 5100

About London Asia Capital plc
London Asia is an AIM listed (code LDC) investment business, focused on
investing in established, profitable businesses in the Greater China region
which have the potential to grow rapidly and benefit from the management skills
which the London Asia management team can bring, particularly our experience in
bringing businesses to capital markets both in Europe and Asia.  To date, the
Company has made four investments in China.  The Company currently has 22.2
million ordinary shares in issue.  Visit www.londonasiacapital.com for more
information on the Company.


About Scarborough Development Group plc ("SDG")
Led by Kevin McCabe, chairman of UK listed Sheffield United football club,
Fairbriar plc and Teesland plc, SDG is a UK headquartered property company with
a #1bn development programme.  SDG is one of the UK's leading independent
private development companies with interests overseas in Europe and China.  The
Group has recently established a new subsidiary, headed by London Asia's Susan
Tham, to promote and undertake commercial and residential projects in China.
Over the last few years SDG has built up its knowledge of the Far East,
principally as a result of its association with Centrepoint Properties Limited,
a Singaporean corporation. For additional information, see www.sdgroup-plc.com .


                      This information is provided by RNS
            The company news service from the London Stock Exchange
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